Financial Performance - The company's operating revenue for 2019 was ¥3,090,611,048.04, a decrease of 18.79% compared to ¥3,805,568,989.89 in 2018[23]. - The net profit attributable to shareholders was -¥1,045,864,847.90, representing a decline of 2,545.20% from ¥42,772,165.25 in the previous year[23]. - The net cash flow from operating activities increased by 190.91% to ¥407,161,310.82 from ¥139,962,596.85 in 2018[23]. - The total assets at the end of 2019 were ¥7,552,631,755.60, down 15.94% from ¥8,985,287,962.33 at the end of 2018[24]. - The company's net assets attributable to shareholders decreased by 20.56% to ¥4,066,248,484.04 from ¥5,118,472,319.62 in 2018[24]. - The basic earnings per share for 2019 was -¥0.58, a significant drop from ¥0.02 in 2018, reflecting a decrease of 3,000.00%[23]. - The company reported a net profit excluding non-recurring items of -¥1,068,219,945.75, compared to -¥7,292,614.22 in 2018, marking a decline of 14,547.97%[23]. - The company achieved operating revenue of RMB 309,061 million in 2019, reflecting a decline in business income due to increased industry competition and economic pressures[62]. - The total operating revenue for 2019 was approximately ¥3.09 billion, a decrease of 18.79% compared to ¥3.81 billion in 2018[70]. - The landscape architecture segment generated ¥2.49 billion, accounting for 80.68% of total revenue, down 7.48% from ¥2.70 billion in 2018[70]. - The environmental protection segment's revenue fell by 45.62% to ¥292.66 million, down from ¥538.14 million in the previous year[70]. - The gross profit margin for the landscape architecture segment improved to 6.18%, despite a revenue decline of 7.48%[73]. Market Position and Strategy - The company reported significant reliance on real estate landscaping and design services, with over 50% of revenue derived from this sector, indicating vulnerability to industry regulatory changes[6]. - The competitive landscape in the landscaping industry has intensified, with over 16,000 companies operating in China, necessitating strategic adjustments for national expansion[9]. - The company has established a solid operational foundation in regions such as South China, East China, and North China, but will face increased competition in these areas[9]. - The company is focusing on sustainable development and expanding into environmental protection and urban renewal sectors[33]. - The company aims to enhance its core competitiveness through technological innovation and refined management practices[33]. - The company has established a strong market position with over 20 years of quality customer resources and high technical standards, covering key regions such as the Guangdong-Hong Kong-Macao Greater Bay Area and the Yangtze River Delta[37]. - The company adjusted its development strategy to focus on economically strong regions and first-tier cities, particularly in the Guangdong-Hong Kong-Macao Greater Bay Area[67]. - The company plans to deepen its market presence in the Guangdong-Hong Kong-Macao Greater Bay Area and expand to key cities nationwide, balancing efficiency and quality in its operations[121]. Risk Management and Compliance - The company plans to optimize marketing strategies and resource allocation to enhance sensitivity to macroeconomic changes and improve risk management capabilities[10]. - The overall economic environment remains challenging, with structural and cyclical issues contributing to downward pressure on growth rates[10]. - The company emphasizes the importance of adapting to policy changes in the municipal landscaping and environmental protection sectors to mitigate operational risks[7]. - The company is committed to closely monitoring macroeconomic trends and industry policies to navigate potential risks effectively[10]. - The company is currently involved in PPP projects, which face risks related to legal compliance and market supply due to evolving regulations[44]. - The company has implemented a comprehensive project risk control system, enhancing cash flow management and reducing payment risks[58]. - The company has established complete decision-making procedures and mechanisms regarding cash dividends[138]. Research and Development - The company continues to invest in R&D, focusing on new plant development and ecological restoration, with significant technological advancements expected to support future growth[57]. - Research and development investment amounted to ¥102,237,816.23 in 2019, a decrease of 7.20% compared to ¥110,166,528.76 in 2018[93]. - The number of R&D personnel decreased by 13.18% from 349 in 2018 to 303 in 2019[93]. - The company received five government project approvals related to horticultural cultivation technology in 2019[88]. - Three new invention patents were granted, including methods for water purification using wetland plants[90]. - The company obtained 3 new invention patents and 17 utility model patents during the reporting period, focusing on high-temperature and high-pressure fluid transport and wastewater treatment technologies[91]. Shareholder Returns and Dividends - No cash dividends or stock bonuses will be distributed to shareholders, reflecting a focus on reinvestment[11]. - The company is committed to a stable profit distribution policy, ensuring that cash dividends are at least 10% of the annual distributable profits[137]. - The company will adopt a cash dividend approach whenever possible, with a minimum cash distribution of 30% of the average distributable profits over any three consecutive years[134]. - The company did not distribute cash dividends in 2019, with a total cash dividend of 0.00 yuan, representing 0.00% of the net profit attributable to ordinary shareholders[141]. - In 2018, the company distributed cash dividends of 5,387,671.36 yuan, which accounted for 12.60% of the net profit attributable to ordinary shareholders[141]. - The company has a clear and transparent cash dividend policy, with independent directors fulfilling their responsibilities[138]. Corporate Governance and Compliance - The company’s financial report is guaranteed to be accurate and complete by its board and management, ensuring transparency for investors[4]. - The company has ensured that minority shareholders have sufficient opportunities to express their opinions and that their legal rights are adequately protected[138]. - The company has made commitments to avoid related party transactions that could harm the interests of Pubang Co. and its shareholders[154]. - The company will adhere to market principles and fair pricing in any necessary related party transactions[154]. - The company will ensure compliance with relevant laws and regulations in conducting transactions and information disclosure[154]. - The company did not face any major litigation or arbitration matters during the reporting period[180]. - The company did not experience any penalties or rectification situations during the reporting period[181]. Operational Efficiency - The company has implemented a cost-cutting strategy aimed at reducing operational expenses by 8% over the next year[162]. - The company focused on high-return projects with favorable payment conditions to improve cash flow amid increasing accounts receivable pressure[64]. - The company has established over 10 subsidiaries nationwide, creating a full industry chain for ecological landscape services[55]. - The procurement model combines centralized control with tiered authorization, utilizing an online procurement platform to select quality suppliers and manage legal risks[45]. - The company has established a complete ecological landscape industry chain, aiming for sustainable long-term development rather than just annual performance growth[119].

Financial Performance - The company's operating revenue for Q1 2020 was ¥296,080,030.58, a decrease of 43.77% compared to ¥526,507,439.70 in the same period last year[8] - The net profit attributable to shareholders was a loss of ¥35,052,173.68, representing a decline of 476.91% from a profit of ¥9,299,865.71 in the previous year[8] - Basic and diluted earnings per share both dropped to -¥0.020, a decrease of 500.00% from ¥0.005 in the previous year[8] - The net profit for Q1 2020 was a loss of CNY 34,244,333.71, compared to a profit of CNY 11,150,117.78 in Q1 2019[46] - The net profit for Q1 2020 was -14,271,087.98 CNY, compared to -21,915,827.91 CNY in Q1 2019, indicating an improvement of approximately 34.5% year-over-year[51] - The total profit for Q1 2020 was -16,563,647.28 CNY, an improvement from -25,445,377.98 CNY in Q1 2019, indicating a reduction in losses by about 34.9%[51] Cash Flow - The net cash flow from operating activities was negative at ¥334,888,233.91, worsening by 187.40% compared to a negative cash flow of ¥116,525,158.99 in the same period last year[8] - Cash flow from operating activities showed a net outflow of -334,888,233.91 CNY in Q1 2020, worsening from -116,525,158.99 CNY in Q1 2019[56] - Cash flow from investing activities resulted in a net outflow of -143,119,686.17 CNY in Q1 2020, compared to -30,254,383.53 CNY in Q1 2019, indicating increased investment expenditures[56] - Cash flow from financing activities generated a net inflow of 191,019,566.64 CNY in Q1 2020, up from 146,630,548.93 CNY in Q1 2019, showing a 30.2% increase[56] - The company incurred a net cash outflow from investment activities of -¥57,778,535.24, contrasting with a net inflow of ¥6,814,119.37 in the previous period, suggesting reduced investment returns[60] Assets and Liabilities - The total assets at the end of the reporting period were ¥7,181,075,116.94, down 4.92% from ¥7,552,631,755.60 at the end of the previous year[8] - The company's current assets totaled CNY 5,164,100,883.28, down from CNY 5,534,928,070.66, indicating a decrease of about 6.69%[36] - Total liabilities decreased to CNY 3,011,604,867.53 from CNY 3,351,405,127.84, a decline of about 10.14%[38] - The company's equity attributable to shareholders decreased to CNY 4,033,449,044.06 from CNY 4,066,248,484.04, reflecting a decrease of approximately 0.81%[39] - Total liabilities amounted to CNY 3,351,405,127.84, a decrease of CNY 24,507,318.16 compared to the previous period[65] Shareholder Information - The total number of shareholders at the end of the reporting period was 97,512[12] - The top shareholder, Tu Shanzhong, held 22.87% of the shares, amounting to 410,630,418 shares[12] Operational Changes - Cash and cash equivalents decreased by ¥315,840,430.45, a decline of 33.29%, primarily due to the early Spring Festival holiday and the impact of the COVID-19 pandemic on collections[7] - Operating revenue decreased by ¥230,427,409.12, a decline of 43.77%, mainly due to the early Spring Festival holiday and significant impacts on project undertakings and construction[7] - The company plans to focus on improving cash flow management and reducing operational costs in the upcoming quarters to enhance financial stability[60] - The company is implementing new revenue and leasing standards starting in 2020, which may affect future financial reporting[70] Inventory and Receivables - Inventory decreased by ¥1,723,795,078.02, a decline of 78.98%, primarily due to reclassification under the new revenue standards[7] - Accounts receivable decreased to CNY 1,303,674,958.30 from CNY 1,608,543,502.34, a reduction of about 19.00%[36] - Accounts receivable stood at ¥1,608,543,502.34, reflecting the company's ongoing credit sales and potential collection issues[63] - Inventory levels were reported at ¥2,182,571,152.76, which may indicate overstocking or slow-moving goods[63]

Financial Performance - The company's operating revenue for Q1 2020 was ¥296,080,030.58, a decrease of 43.77% compared to ¥526,507,439.70 in the same period last year[8] - The net profit attributable to shareholders was -¥35,052,173.68, representing a decline of 476.91% from ¥9,299,865.71 in the previous year[8] - Basic and diluted earnings per share were both -¥0.020, a decrease of 500.00% from ¥0.005 in the previous year[8] - The net profit for Q1 2020 was a loss of CNY 34,244,333.71, compared to a profit of CNY 11,150,117.78 in Q1 2019[47] - The net profit for the first quarter of 2020 was -14,271,087.98 CNY, compared to -21,915,827.91 CNY in the same period last year, indicating an improvement of approximately 34.5%[51] - Operating profit for the first quarter was -16,855,788.74 CNY, an improvement from -25,380,595.18 CNY year-over-year, reflecting a reduction in losses of about 33.5%[51] Cash Flow - The net cash flow from operating activities was -¥334,888,233.91, which is a 187.40% increase in negative cash flow compared to -¥116,525,158.99 in the same period last year[8] - Net cash flow from operating activities decreased by ¥218,363,074.92, a decline of 187.40%, primarily due to reduced collections influenced by the early Spring Festival holiday and the COVID-19 pandemic[6] - The net cash flow from investing activities decreased by ¥112,865,302.64, a decline of 373.05%, mainly due to cash payments for structured deposits and financial products[6] - The net cash flow from financing activities increased by ¥44,389,017.71, a growth of 30.27%, primarily due to cash received from the issuance of a debt financing plan[6] - The net cash flow from investing activities was -57,778,535.24 CNY, compared to 6,814,119.37 CNY in the previous year[59] - The net cash flow from financing activities was 229,182,048.81 CNY, compared to 87,067,756.08 CNY in the previous year[59] Assets and Liabilities - Total assets at the end of the reporting period were ¥7,205,442,144.00, down 5.71% from ¥7,641,771,981.35 at the end of the previous year[8] - Total current assets decreased to ¥5,187,652,436.57 from ¥5,624,019,943.55, a decline of approximately 7.8% year-over-year[36] - Total liabilities decreased to ¥2,988,333,253.34 from ¥3,392,906,712.34, a decline of approximately 11.9%[38] - Short-term borrowings increased to ¥527,000,000.00 from ¥407,000,000.00, an increase of about 29.5%[37] - Current liabilities totaled CNY 1,652,402,302.68, down from CNY 1,966,200,998.37 in the previous quarter[43] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 97,512[12] - The largest shareholder, Tu Shanzhong, holds 22.87% of the shares, amounting to 410,630,418 shares[12] Revenue and Costs - Operating costs decreased by ¥191,691,694.02, a decline of 40.91%, corresponding to the decrease in revenue[6] - Total operating costs for Q1 2020 were CNY 345,898,069.10, down 37% from CNY 547,765,474.94 year-on-year[46] - Total revenue from sales of goods and services received was 600,346,155.56 CNY, down from 913,757,382.79 CNY in the previous year, representing a decline of approximately 34.2%[54] Other Financial Metrics - The weighted average return on net assets was -0.86%, a decline of 1.04% compared to 0.18% in the previous year[8] - The company reported non-recurring gains and losses totaling ¥1,702,638.63, primarily from structural deposit interest[9] - Tax expenses decreased by ¥2,566,940.78, a decline of 204.41%, mainly due to the decrease in company profits[6] - Other income decreased by ¥1,565,130.60, a decline of 88.56%, primarily due to reduced government subsidies recognized in the reporting period[6] - Investment income decreased by ¥9,493,915.20, a decline of 69.09%, mainly due to reduced investment returns from joint ventures[6] - Research and development expenses for Q1 2020 were CNY 14,234,128.70, a decrease of 21.5% from CNY 18,070,820.79 in the previous year[46] Cash and Cash Equivalents - Cash and cash equivalents decreased by ¥315,840,430.45, a decline of 33.29%, primarily due to the early Spring Festival holiday and the impact of the COVID-19 pandemic on collections[6] - The company's cash and cash equivalents decreased to ¥633,019,332.52 from ¥948,859,762.97, a drop of about 33.3%[36] - Cash and cash equivalents at the end of the period totaled 548,666,267.53 CNY, down from 921,736,987.87 CNY at the end of the previous year, a decrease of about 40.5%[56] - The cash outflow for debt repayment was 200,500,000.00 CNY[59] Audit and Standards - The first quarter report was not audited[60] - The company did not apply new revenue and leasing standards for the first quarter of 2020[60]

Financial Performance - Operating revenue for the reporting period was ¥793,566,502.18, a decrease of 9.28% year-on-year[8]. - Net profit attributable to shareholders was ¥14,557,504.49, down 63.40% compared to the same period last year[8]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥6,834,362.68, a decrease of 69.76% year-on-year[8]. - Basic earnings per share were ¥0.008, down 63.64% compared to the same period last year[8]. - Total operating revenue for the current period is $793.57 million, a decrease of 9.3% from $874.70 million in the previous period[55]. - Net profit for the current period is $15.33 million, a decline of 63.1% compared to $41.54 million in the previous period[56]. - The company reported a total profit of $17.49 million, down 60.7% from $44.44 million in the previous period[56]. - Total operating revenue for the third quarter was CNY 2,124,590,810.49, a decrease of 16.0% compared to CNY 2,529,208,520.46 in the same period last year[64]. - Net profit for the third quarter was CNY 106,702,963.22, a decline of 25.2% from CNY 142,625,648.92 in the previous year[66]. Cash Flow and Assets - The net cash flow from operating activities was ¥52,685,644.91, an increase of 212.37% compared to the previous year[8]. - Cash and cash equivalents reached CNY 1,128,945,362.99, up from CNY 1,035,351,853.16 in December 2018, reflecting a growth of approximately 9%[45]. - The total cash and cash equivalents at the end of the period amounted to approximately 1.05 billion, up from 749.03 million at the end of the previous year[75]. - The total cash outflow for operating activities was approximately 2.37 billion, down from 2.92 billion in the previous year, reflecting improved cash management[74]. - The total current assets amounted to CNY 6,219,905,393.06, remaining stable compared to the previous year[81]. - The total cash inflow from financing activities was CNY 671,809,340.18, compared to CNY 795,155,998.30 in the previous year, indicating a decline of approximately 15.6%[78]. Shareholder Information - The company reported a total of 102,835 common shareholders at the end of the reporting period[12]. - The top shareholder, Tu Shanzhong, holds 22.87% of the shares, totaling 410,630,418 shares[12]. - The company has established a lock-up period for shares acquired through the issuance, lasting 12 months post-issuance[34]. - The management shareholders will not engage in related party transactions unless necessary, ensuring fair market practices[32]. Liabilities and Equity - Total liabilities decreased from CNY 3,739,051,001.74 to CNY 3,675,117,382.21, a reduction of approximately 1.7%[48]. - Current liabilities totaled CNY 2,581,840,477.91, down from CNY 2,740,818,096.73, reflecting a decrease of about 5.8%[48]. - Total equity increased from CNY 5,246,236,960.59 to CNY 5,356,158,685.35, reflecting a growth of approximately 2.1%[48]. Investment and Development - The company committed to ensuring the stable and sustainable development of its subsidiary, Deep Blue Environmental, with management shareholders promising to remain employed for at least 48 months post-equity transfer[28]. - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[72]. - The company has initiated new strategies for market expansion and product development, focusing on enhancing operational efficiency and customer engagement[72]. Compliance and Governance - The company has no reported violations regarding external guarantees during the reporting period[38]. - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period[39]. - The report was not audited, which may affect the reliability of the financial data presented[90].

Revenue and Profitability - The company's operating revenue for the reporting period was ¥1,331,024,308.31, a decrease of 19.55% compared to the same period last year[24]. - The net profit attributable to shareholders was ¥89,340,045.61, down 9.95% year-over-year[24]. - The net profit after deducting non-recurring gains and losses was ¥78,860,143.23, reflecting a decline of 14.19% compared to the previous year[24]. - Total revenue for the period was ¥1,331,024,308.31, a decrease of 19.55% compared to ¥1,654,509,853.38 in the same period last year[53]. - Revenue from the landscaping sector was ¥982,804,433.42, accounting for 73.83% of total revenue, down 16.68% from ¥1,179,511,765.51[53]. - Environmental revenue decreased by 44.35% to ¥110,958,713.03, primarily due to a focus on high-quality projects leading to a reduction in overall business volume[56]. - Revenue from vacation landscaping dropped 65.25% to ¥27,930,523.69, attributed to a decrease in contract volume[56]. - The company reported a significant decline in overseas revenue, which fell by 48.41% to ¥20,185,843.90, due to decreased business in landscaping and internet data services[56]. Cash Flow and Financial Position - The net cash flow from operating activities improved to -¥78,133,997.79, a 62.26% increase from -¥207,026,119.95 in the same period last year[24]. - The company's cash and cash equivalents net increase was -RMB 218,522,461.35, a reduction of 78.37% compared to -RMB 1,010,243,270.60 in the previous year[50]. - The company is focusing on high-quality project selection to improve cash flow and reduce operational risks amid tightening cash flow management in the real estate sector[45]. - Cash inflow from operating activities was CNY 1,556,157,720.17, down from CNY 1,807,052,513.63 in the first half of 2018, representing a decrease of about 13.9%[188]. - The ending balance of cash and cash equivalents was CNY 704,875,801.71, down from CNY 842,974,551.91 at the end of the first half of 2018[190]. Business Strategy and Market Position - The company has established a solid business foundation in regions such as East China, North China, Southwest, and Central China, while maintaining its competitive edge in South China[8]. - The company has been actively expanding into new business areas, including environmental protection and mobile marketing, enhancing its service capabilities[32][33]. - The company aims to expand into emerging sectors through external acquisitions, enhancing its product line and optimizing business structure to better meet existing customer needs[79]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2020[90]. - The company is focusing on high-open and financially robust regions to build brand presence and market influence[79]. Risks and Challenges - The company reported that over 50% of its revenue comes from real estate landscaping engineering and design services, which are affected by regulatory policies in the real estate sector[6]. - The company has faced risks related to cash flow due to the need for upfront investment in municipal landscaping and environmental projects, leading to potential increases in accounts receivable[7]. - The company is exposed to risks from natural disasters that could disrupt outdoor construction projects, potentially increasing costs and impacting financial performance[11]. - The domestic landscaping industry has over 16,000 companies, resulting in intense competition; however, the company maintains advantages in scale, brand image, and customer resources[8]. Acquisitions and Investments - The acquisition of 100% of BoRuiSaiSi has established the internet marketing sector as a new growth point for the company, although market competition and economic fluctuations pose risks[9][10]. - The company has completed acquisitions to strengthen its position in the environmental and internet marketing sectors, including the purchase of 100% equity in Deep Blue Environmental Protection and Bo Rui Si Si[32]. - The company holds a 25.4% stake in Baosheng Technology, which was acquired to strengthen its position in the internet data service sector[39]. Shareholder and Management Commitments - The company plans to distribute at least 10% of its distributable profits in cash annually over the next three years (2017, 2018, and 2019)[98]. - The management has developed a project lifecycle management model that has been successfully implemented across various branches, establishing a standardized process foundation[79]. - The company has established a clear framework for managing potential conflicts of interest and ensuring compliance with its operational guidelines[96]. - The company’s original management shareholders are required to notify the company of any business opportunities that may conflict with its main operations[96]. Financial Management and Debt - The company has a total bank credit limit of CNY 1.7 billion, ensuring sufficient capacity for bond repayment[156]. - The company plans to expand financing channels and improve debt structure to ensure solid repayment capabilities for its bonds[156]. - The company has not experienced any defaults on bank debts and maintains a good credit record in the domestic banking sector[156]. - The company’s bond interest is paid annually, with the first interest payment date on December 14, 2018[154]. Research and Development - New product development efforts are focused on eco-friendly landscaping solutions, with an investment of 50 million yuan allocated for R&D in 2019[88]. - Research and development expenses increased to CNY 40,566,615.97, up 5.1% from CNY 38,585,628.70 in the previous year[178].

Financial Performance - The company's operating revenue for Q1 2019 was CNY 526,507,439.70, a decrease of 25.03% compared to CNY 702,328,823.38 in the same period last year[8]. - The net profit attributable to shareholders was CNY 9,299,865.71, down 7.24% from CNY 10,025,926.20 year-on-year[8]. - The net profit attributable to shareholders after deducting non-recurring gains and losses increased by 3.29% to CNY 6,404,592.85 from CNY 6,200,820.63 in the previous year[8]. - The company reported a total profit of -25,445,377.98 CNY for Q1 2019, compared to -6,435,226.11 CNY in Q1 2018[63]. - The company's net profit for Q1 2019 was -21,915,827.91 CNY, compared to -6,025,353.96 CNY in the same period last year, indicating a significant increase in losses[63]. - Net profit for Q1 2019 was CNY 11,150,117.78, slightly up from CNY 11,003,734.95 year-on-year, indicating a growth of 1.3%[59]. Cash Flow and Assets - The net cash flow from operating activities improved significantly, reaching CNY -116,525,158.99, a 66.94% increase compared to CNY -352,508,294.51 in the same period last year[8]. - Cash and cash equivalents at the end of the period were 921,736,987.87 CNY, a decrease from 1,303,513,706.98 CNY at the end of the previous year[69]. - The company achieved a net cash flow from financing activities of 146,630,548.93 CNY, contrasting with a negative cash flow of -128,805,033.53 CNY in the same quarter last year[69]. - Total current assets decreased from CNY 6,219,905,393.06 to CNY 5,857,810,376.55, a decline of approximately 5.8%[48]. - Total assets at the end of the reporting period were CNY 8,649,441,760.18, a decrease of 3.74% from CNY 8,985,287,962.33 at the end of the previous year[8]. - Total liabilities decreased from CNY 3,739,051,001.74 to CNY 3,396,648,532.65, a decline of about 9.2%[50]. Shareholder Information - The total number of shareholders at the end of the reporting period was 97,397[12]. - The company reported a lock-up period for shares obtained from the issuance, lasting 12 months from the completion of the issuance[31]. - The original management shareholders committed to a gradual release of shares over four years, with unlock ratios of 25%, 30%, 30%, and 15% for the years 2016, 2017, 2018, and 2019 respectively[31]. - The management shareholders pledged to remain employed at the company for at least 48 months post-acquisition to ensure stability and development[31]. Compliance and Governance - The company emphasized maintaining its independence and ensuring that its employees, assets, and finances remain distinct from those of its controlling shareholders[35]. - The company is focused on ensuring compliance with relevant laws and regulations regarding related transactions and shareholder rights[35]. - The original management shareholders are liable for any losses incurred by the company due to violations of their commitments[35]. - The company has made commitments to avoid engaging in any business that competes with its main operations during their tenure and for a specified period after leaving[38]. Financial Standards and Reporting - The company’s financial statements are prepared in accordance with the relevant accounting standards, with the consolidated balance sheet presented in yuan[47]. - The company implemented new financial instrument accounting standards starting January 1, 2019, affecting prior comparative financial statements[79]. - The first quarter report for 2019 was not audited[80]. - The company has not provided any forecasts for its operating performance for the first half of 2019[41].

Revenue Sources and Financial Performance - The company reported a significant portion of its revenue, over 50%, derived from real estate landscaping engineering and design services, indicating vulnerability to real estate industry fluctuations due to regulatory policies [6]. - The company's operating revenue for 2018 was CNY 3,805,568,989.89, representing a 6.42% increase compared to CNY 3,576,139,461.11 in 2017 [25]. - The net profit attributable to shareholders for 2018 was CNY 42,772,165.25, a decrease of 71.84% from CNY 151,884,716.00 in 2017 [25]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY -7,292,614.22, down 105.40% from CNY 135,126,958.84 in 2017 [25]. - The basic and diluted earnings per share for 2018 were both CNY 0.02, a decrease of 77.78% from CNY 0.09 in 2017 [25]. - The total assets at the end of 2018 were CNY 8,985,287,962.33, a decrease of 10.02% from CNY 9,986,189,364.78 at the end of 2017 [26]. - The net assets attributable to shareholders at the end of 2018 were CNY 5,118,472,319.62, an increase of 0.73% from CNY 5,081,532,432.84 at the end of 2017 [26]. - The company reported a net cash flow from operating activities of CNY 139,962,596.85 for 2018 [25]. Business Operations and Market Position - The company aims to enhance its integrated service capabilities in the landscaping industry, focusing on residential, tourism, commercial, and public landscaping projects [34]. - The company has established itself as a leading enterprise in the national landscaping industry, holding multiple prestigious awards including one "Excellent Landscaping Engineering Award" (Gold) and nine "Excellent Landscaping Engineering Awards" (Silver) [39]. - The company has a comprehensive range of qualifications, including Class A for landscape engineering design and Class B for municipal engineering construction, enhancing its market recognition and competitive edge [41]. - The company has expanded its business model to include EPC (Engineering, Procurement, and Construction) projects, leveraging its design and engineering capabilities [43]. - The company operates across seven major regions in China, including South China, East China, Southwest, Central China, North China, Northeast, and Northwest, reflecting its extensive market coverage [39]. - The company has established 16 subsidiaries across the country, forming a comprehensive ecological landscape industry chain [59]. Competition and Industry Challenges - The competitive landscape in the landscaping industry has intensified, with over 16,000 companies in China, necessitating strategic adjustments for national expansion while maintaining regional advantages [8]. - The company has faced increased operational risks due to changes in municipal landscaping and environmental protection policies, particularly affecting cash flow and receivables from government projects [7]. - The company has faced increased competition in the real estate market, leading to a higher investment in landscape engineering to enhance overall project value [38]. - The company has identified potential risks related to PPP projects due to evolving legal frameworks and inconsistent local regulations, which may impact project execution and operations [46]. Research and Development - The company has made significant investments in R&D, focusing on key technologies to support business development and market expansion [60]. - The company’s research and development expenses increased by 25.15% to ¥110,166,528.76, reflecting a commitment to innovation [92]. - The number of R&D personnel increased by 17.11% to 349 in 2018, representing 14.34% of the total workforce, up from 12.06% in 2017 [96]. - The company filed for 2 new invention patents and 21 utility model patents during the reporting period [95]. Cash Dividends and Profit Distribution - The company plans to distribute a cash dividend of 0.03 RMB per 10 shares based on a total share capital of 1,795,890,452 shares as of December 31, 2018 [12]. - The company’s cash dividend policy stipulates that at least 10% of the distributable profit for the year must be distributed in cash [151]. - The cumulative cash dividends over any three consecutive years must not be less than 30% of the average annual distributable profit for those three years [154]. - The company’s cash dividends for 2018 represented 12.60% of the net profit attributable to ordinary shareholders [159]. - The board of directors must consider various factors, including industry characteristics and major capital expenditure plans, when proposing cash dividend policies [151]. Financial Management and Investments - The company has implemented a full lifecycle cost control strategy for its projects, ensuring effective management of costs from planning through to completion [45]. - The company has established a robust procurement model that combines centralized control with delegated authority, ensuring quality and cost-effectiveness in sourcing materials [47]. - The company has reported a significant increase in intangible assets, rising by 120.59% to RMB 287.17 million compared to the end of 2017, primarily due to the increase in concessions from public municipal projects [56]. - Cash and cash equivalents decreased by 46.53% to RMB 103.57 million, mainly due to the repayment of principal and interest on corporate bonds and loans [56]. - The company utilized a total of RMB 473.99 million in bank credit during the reporting period [51]. Strategic Acquisitions and Growth - The acquisition of 100% of BoRuiSaiSi has positioned the internet marketing sector as a new growth driver, although market competition and economic conditions pose risks to expected performance [9][10]. - The company has expanded its strategic footprint in the mobile digital marketing sector through acquisitions, enhancing its service offerings [61]. - The company is focused on acquiring teams, technologies, and operational concepts through mergers and acquisitions to enter emerging fields and optimize its business structure [141]. Asset Management and Liabilities - The total amount of accounts payable was ¥1,935,474,881.53, representing 21.54% of total liabilities, a slight increase of 0.13% attributed to the concentration of supplier payment settlements [108]. - The company’s goodwill stood at ¥1,007,896,336.06, which is 11.22% of total assets, reflecting an increase of 0.68% due to impairment losses recognized for subsidiaries [107]. - The recoverable amount of the Deep Blue Environmental asset group was assessed at 875.50 million yuan, which is lower than the book value of 919.69 million yuan, resulting in a goodwill impairment loss of 441.96 million yuan [190]. Corporate Governance and Compliance - The company has established a non-competition agreement for original management shareholders to ensure stable development [167]. - The management team must remain employed for at least 48 months post-equity transfer to fulfill performance commitments [176]. - The company will ensure fair pricing and compliance with legal regulations during any necessary related party transactions [173]. - The management team is prohibited from engaging in similar or competing businesses during and after their tenure with the company [177].

Financial Performance - Total assets decreased by 9.14% to CNY 9,073,283,538.93 compared to the end of the previous year[5] - Net profit attributable to shareholders increased by 6.93% to CNY 39,772,140.73 for the reporting period[6] - Operating revenue for the reporting period was CNY 874,698,667.08, reflecting a growth of 4.08% year-on-year[5] - The net cash flow from operating activities decreased by 36.69% to CNY 16,866,433.10[6] - Basic earnings per share rose by 4.76% to CNY 0.022 for the reporting period[6] - The weighted average return on equity was 0.77%, a decrease of 0.04% compared to the previous year[6] - Non-recurring gains and losses totaled CNY 24,491,854.16 for the year-to-date period[6] - The net assets attributable to shareholders increased by 2.63% to CNY 5,215,200,301.33 compared to the end of the previous year[5] - The company reported a year-to-date net profit of CNY 138,988,842.55, up 6.43% year-on-year[5] Cash Flow and Assets - Cash and cash equivalents decreased by ¥1,104,125,017.29, a decline of 57.02%, primarily due to the repayment of the 13-year company bond principal, interest, and increased payables[14] - Long-term receivables increased by ¥133,671,915.92, a growth of 65.67%, mainly due to the increase in long-term receivables from public municipal projects[14] - Intangible assets increased by ¥206,883,427.67, an increase of 86.87%, primarily due to the increase in concessions formed from public municipal projects during the reporting period[14] - Financial expenses increased by ¥41,924,999.30, a growth of 112.12%, mainly due to increased interest expenses and decreased interest income[16] - Net cash flow from investing activities increased by ¥206,068,256.67, a growth of 85.80%, mainly due to increased proceeds from the disposal of properties and buildings[16] - Net cash flow from financing activities decreased by ¥1,258,090,085.69, a decline of 335.83%, primarily due to the repayment of the 13-year company bond principal, interest, and related party borrowings[17] - Other current liabilities decreased by ¥214,648,596.60, a decline of 53.00%, mainly due to the repayment of related party borrowings[15] - Prepayments increased by ¥16,033,303.30, a growth of 54.65%, mainly due to increased prepayments for information fees and environmental project materials[14] - Other comprehensive income increased by ¥9,330,500.26, a growth of 3,301.40%, mainly due to the recognition of other comprehensive income from joint ventures and foreign currency translation differences[15] Management and Shareholder Commitments - The company plans to extend the employee stock ownership plan by 6 months if it cannot be completed within the original timeframe due to sensitive information periods or stock suspension[19] - The management team of Guangzhou Pubang Garden Co., Ltd. has committed to remain in their positions at Deep Blue Environmental for at least 48 months following the equity transfer[24] - If Deep Blue Environmental achieves a net profit exceeding 105% of the annual profit commitment, Guangzhou Pubang will reward the original management shareholders[25] - The calculation for the cash reward to the original management shareholders will be based on the actual net profit minus the committed net profit, multiplied by 10%[26] - The original management shareholders are prohibited from engaging in similar or competing businesses with Guangzhou Pubang and its subsidiaries for two years after leaving their positions[24] - The original management shareholders must compensate Guangzhou Pubang for any losses incurred due to violations of the non-compete agreement[25] - The management team has committed to avoiding and minimizing related party transactions post-transaction completion, ensuring fair market pricing[27] - The original management shareholders will not utilize information obtained from Guangzhou Pubang to assist third parties in competing businesses[27] - The original management shareholders will notify Guangzhou Pubang of any business opportunities that fall within the company's main business scope[26] - The cash rewards for the original management shareholders will be sourced from the dividends Guangzhou Pubang receives from Deep Blue Environmental[25] - The management team will continue to adhere to relevant laws and regulations regarding shareholder rights and related party transactions[27] Performance Projections and Industry Challenges - The actual net profits achieved by the company for the years 2016, 2017, and 2018 were CNY 67 million, CNY 87.1 million, and CNY 113.3 million respectively[29] - The operating cash inflow for each year must not be less than 80% of the audited revenue for that year, and the net cash flow from operating activities should not be less than 53% of the audited net profit for that year[29] - If the actual net profit exceeds 105% of the promised profit for any year during the profit commitment period, the company will reward the original management team with cash based on a specific calculation formula[30] - The estimated net profit attributable to shareholders for 2018 is projected to be between ¥10,631.93 million and ¥15,188.47 million, indicating a decrease of 0% to 30% compared to the previous year[34] - The decline in performance is attributed to factors such as slowing industry growth, tightening cash flow management by real estate companies, local government debt regulation, and increasing competition in the traditional landscaping industry[34] - The company plans to distribute at least 10% of the annual distributable profits in cash over the next three years, with a cumulative cash distribution of no less than 30% of the average distributable profits for those three years[33] - The company has committed to not providing loans or financial assistance to incentive objects under the stock option incentive plan[33] Compliance and Governance - There were no violations regarding external guarantees during the reporting period[35] - The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period[36] - The company did not engage in entrusted wealth management during the reporting period[37] - The company’s landscape business has contracted, leading to a decrease in project gross profit margins[34] - The company has implemented a stock incentive plan, with a lock-up period for part of the shares from February 5, 2018, to February 5, 2019[33] - The company did not conduct any research, communication, or interview activities during the reporting period[38]

Revenue and Profitability - The company's operating revenue for the reporting period was CNY 1,654,509,853.38, representing a 4.14% increase compared to the same period last year [22]. - The net profit attributable to shareholders was CNY 99,216,701.82, reflecting a growth of 6.24% year-on-year [22]. - The net profit after deducting non-recurring gains and losses was CNY 91,900,263.73, up by 5.06% from the previous year [22]. - The environmental protection segment saw a revenue increase of 34.27%, contributing ¥199,371,752.20, up from ¥148,488,598.24 in the previous year [44][49]. - The internet data service segment generated ¥275,626,335.67, marking a 12.36% increase compared to ¥245,313,520.55 in the prior year [49]. - The landscaping segment accounted for 71.29% of total revenue, with a slight decrease of 1.29% year-on-year [49]. - The company expects a net profit attributable to shareholders for the first nine months of 2018 to be between 130,588.5 thousand yuan and 169,765.1 thousand yuan, representing a growth of 0% to 30% compared to the same period in 2017 [83]. Cash Flow and Financial Position - The net cash flow from operating activities improved to CNY -207,026,119.95, a decrease in outflow of 8.47% compared to the same period last year [22]. - The company's cash and cash equivalents at the end of the reporting period were CNY 936,249,170.45, an increase from CNY 826,104,084.30 at the same time last year [58]. - The company's total liabilities increased, with short-term borrowings rising to CNY 688,000,000.00, up from CNY 530,000,000.00, primarily to support working capital [58]. - The company's cash flow from operating activities showed an improvement, with a net cash outflow of ¥207,026,119.95, a decrease of 8.47% from the previous year [48]. - The company's total current assets amounted to RMB 6,435.89 million, with liquid assets excluding inventory at RMB 2,967.52 million [165]. - The company's current ratio improved to 217.61% from 193.34% year-over-year, while the debt-to-asset ratio decreased to 42.34% from 47.92% [171]. Investments and Acquisitions - The acquisition of 100% of Borui Saisi in 2017 has positioned the internet marketing sector as a new growth point for the company, although it faces risks from market competition and economic fluctuations [8]. - The company has expanded its business into mobile marketing through acquisitions, including 100% of BoRuiSaiSi and 34% of BaoSheng Technology [30][31]. - The company has made strategic acquisitions, including a 100% stake in Deep Blue Environmental and 100% of Borui Saisi, to expand into the environmental and internet marketing sectors [36]. - The company reported a total investment commitment of RMB 187,117 million, with a significant increase from RMB 148,708 million in the previous period, reflecting a growth of approximately 25.8% [71]. Regulatory and Market Environment - The company reported that over 50% of its revenue comes from real estate landscaping engineering and design services, which are affected by regulatory policies in the real estate sector [5]. - The company is actively promoting the PPP model, but the regulatory environment for these projects has become more stringent, affecting project financing and execution [6]. - The landscaping industry in China has over 16,000 companies, leading to intense competition, which requires the company to enhance its competitive strategies and organizational management [6]. Management and Corporate Governance - The company's financial report is guaranteed to be true, accurate, and complete by its board of directors and management, ensuring accountability [4]. - The company has committed to not distributing cash dividends or bonus shares for the half-year period [89]. - The management has developed a project management platform that integrates project lifecycle management, procurement, and quality monitoring, which has been successfully implemented across various branches [85]. - The management has committed to compensating the company for any losses incurred due to violations of these commitments [96]. Performance and Operational Efficiency - The company's gross profit margin for the environmental segment was 21.81%, while the municipal landscape segment had a lower margin of 10.93% [52]. - The company has achieved a project progress of 12.48% for the Bo Ai Lake BT project, with a total investment of 5,485.40 million yuan [75]. - The company is focused on enhancing the efficiency and effectiveness of the remaining raised funds through strategic adjustments [71]. - The company has not reported any changes in the use of raised funds for investment projects or any surplus amounts remaining [72]. Shareholder and Equity Information - The company's stock is listed on the Shenzhen Stock Exchange under the code 002663, with a focus on landscape architecture [17]. - The total number of ordinary shareholders at the end of the reporting period was 93,476 [145]. - The largest shareholder, Tu Shanzhong, holds 22.87% of the shares, totaling 410,630,418 shares [145]. - The company has a structured approach to managing potential conflicts of interest among its executives and shareholders [101].

Financial Performance - The company's operating revenue for Q1 2018 was ¥702,328,823.38, representing a 16.91% increase compared to ¥600,738,250.30 in the same period last year[5] - Net profit attributable to shareholders was ¥10,025,926.20, a 37.90% increase from ¥7,270,381.70 year-on-year[5] - The net profit after deducting non-recurring gains and losses was ¥6,200,820.63, up 4.82% from ¥5,915,453.00 in the previous year[5] - The basic earnings per share increased by 50.00% to ¥0.006 from ¥0.004 in the same period last year[5] - The net profit attributable to shareholders for the first half of 2018 is expected to be between 121.41 million and 149.43 million RMB, representing a year-on-year increase of 30% to 60%[39] - The net profit for the first half of 2017 was 93.39 million RMB, indicating a significant improvement in performance for 2018[39] - The company attributes the performance improvement to the comprehensive implementation of its platform development strategy, leading to a gradual stabilization and increase in earnings[39] Assets and Cash Flow - The total assets at the end of the reporting period were ¥9,356,122,867.24, a decrease of 6.31% from ¥9,986,189,364.78 at the end of the previous year[6] - The net cash flow from operating activities was negative at -¥352,508,294.51, worsening by 24.96% compared to -¥278,906,433.52 in the same period last year[5] - Cash and cash equivalents decreased by ¥585,651,802.31, a decline of 30.24%, mainly due to increased operating expenses and loan repayments during the reporting period[14] - Net cash flow from investing activities increased by ¥102,087,953.41, a growth of 60.19%, mainly due to the impact of payments made for investments in Baosheng Technology in the previous period[16] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 96,482[9] - The largest shareholder, Tu Shanzhong, holds 22.87% of the shares, amounting to 410,630,418 shares, with 307,972,813 shares pledged[9] - The employee stock ownership plan aimed to raise up to ¥100 million, with a maximum purchase of 10% of the company's total share capital[19] - As of the stock lock-up date, the employee stock ownership plan had purchased 15,871,219 shares at a total cost of ¥89,767,614.66, representing 0.8838% of the company's total share capital[21] Non-Recurring Gains and Losses - The company reported a total of ¥3,825,105.57 in non-recurring gains and losses for the reporting period[7] Long-term Receivables and Prepayments - Prepayments increased by ¥15,899,746.76, a growth of 54.20%, primarily due to increased prepayments for environmental project materials[14] - Long-term receivables increased by ¥154,635,751.38, a growth of 75.97%, mainly due to the increase in long-term receivables from public municipal projects[14] Financial Expenses and Investment Income - Financial expenses increased by ¥17,584,011.61, a growth of 147.80%, primarily due to increased interest expenses and decreased interest income[15] - Investment income increased by ¥7,918,841.19, a growth of 432.25%, mainly due to increased investment income from structured deposits, joint ventures, and public municipal projects[15] Management Commitments and Shareholder Agreements - The original management shareholders of Deep Blue Environmental committed to a profit guarantee period from January 1, 2015, to December 31, 2018, which has been fulfilled as per the agreement[24] - The company has committed to ensuring stable and sustainable development by requiring management shareholders to remain employed for at least 48 months post-transaction completion[24] - The company has committed to a profit guarantee period, ensuring that if the actual net profit exceeds 105% of the promised profit, cash rewards will be given to the original management shareholders[26] - The calculation for cash rewards is based on the formula: (actual net profit - promised net profit) × 10%[28] - If the actual net profit for 2018 exceeds the promised profit, an additional 10% of the actual net profit will be rewarded to the original management shareholders[28] - The original management shareholders are obligated to compensate the company for any losses incurred due to violations of commitments[30] - The company will not provide any form of guarantee to the original management shareholders or their controlled enterprises[30] - The company guarantees the independence of its operations, including personnel, assets, finances, and business activities[30] Performance of Subsidiaries - The actual net profits achieved by Deep Blue Environmental from 2015 to 2018 were 32 million, 46.4 million, 67.28 million, and 90.82 million respectively, reflecting a consistent growth trend[24] - The net profits of Boleisais from 2016 to 2018 were 67 million, 87.1 million, and 113.3 million respectively[32] - The cash inflow from operating activities for Boleisais should not be less than 80% of the audited revenue for the year[32] - The net cash flow from operating activities should not be less than 53% of the audited net profit for the year[32] - If Boleisais achieves a net profit exceeding 105% of the promised profit in any year, a cash reward will be given to the original management shareholders[34] - The total amount of cash rewards for the management team shall not exceed 20% of the total transaction price[34] - The original management shareholders are required to remain employed for at least 48 months after the equity transfer[32] - The lock-up period for shares obtained from the issuance will last for 12 months from the completion of the issuance[32] - The release of shares for original management shareholders will occur in three batches: 40%, 30%, and 30% over three years[32] Compliance and Governance - The company will avoid and minimize related party transactions post-transaction completion, ensuring fair market pricing[30] - The company will continue to strictly adhere to relevant laws and regulations regarding shareholder rights and related party transactions[30] - The company has established a clear framework for handling business opportunities that fall within its main business scope[30]